Enabling inclusive economic eco-systems

Responses to poverty and inequality have largely focused on social welfare and health expenditure. Using a qualitative, exploratory methodology which included a desktop literature review and key informant interviews, we looked at the potential for reducing inequality through a different lens: the enabling role local governments could play to achieve more equitable economic outcomes. We applied the Local Innovation and Production Systems (LIPS) framework from Brazil to examine local governments’ role in driving inclusive economic development and innovation in Africa. We argue that local authorities, through their existing mandates, have the potential to make spaces more equitable and drive inclusive growth, thereby reducing poverty, unemployment and inequality. We reached this conclusion after investigating what potential exists for African cities to design and implement inclusive local economic development approaches; and how local actors can play an active role in positively influencing economic production and socio-economic equality.